Benchmarking Tools


Benchmarking tools

Benchmarking is used to measure and continuously improve an organisation’s processes, procedures and policies against that of best practice. 

 

Benchmarking is a process based on comparing one’s own performance against that of another similar or like-minded organisation in order to learn from the best in class.

 

Benchmarking can be conducted by internal stakeholders or by contracting specialist consultancy companies to carry out the process on behalf of the organisation. If using a consultant the advantage of complete impartiality is gained but there could be a higher cost to consider and budget for.

 

From the results achieved organisations can make changes to further enhance their performance and opportunities within a marketplace.

 

Benchmarking is linked to continuous improvement and can be used alongside LEAN and AGILE projects and when conducted correctly can add significant value to an organisation.

 

Benchmarking can take many forms such as internal, competitive, functional or generic. Different types of benchmarking provide different results for organisations to react to.

 

For benchmarking to be effective the organisation undertaking the benchmarking activity has to have a base line to use as a constant factor to compare against.

 

The results of benchmarking can be plotted onto graphs to show a visual reference of performance. Results can also be used to create Key Performance Indicators (KPIs) to promote internal or external improvement of stakeholders.

 

CIPS members can sign in to access the tools below to help you to understand how to benchmark more effectively.